Rupee recovers by 15 paise vs dollar

The Indian rupee recovered by 15 paise to Rs 44.35 against the US dollar in early trade today on fresh selling of the American currency by banks and exporters on expectations of a resumption of foreign capital inflows into the rising equity market.

The rupee resumed higher at Rs 44.38/39 per dollar on the Interbank Foreign Exchange as against the last close of Rs 44.50/51 per dollar and moved up further to Rs 44.35 per dollar before quoting at Rs 44.37/38 per dollar at 1030 hours.

The domestic currency hovered in a range between Rs 44.35 and Rs 44.41 per dollar in morning deals.

Hopes of a resumption in capital inflows from foreign funds into the equity market mainly boosted the rupee value, as banks and exporters preferred to reduce their dollar stocks at the current stage, a forex dealer said.

The Indian benchmark Sensex rallied by 246 points in early trade on fresh buying by operators and investors on news of a second bailout for Greece and plans to prevent the sovereign debt contagion from spreading to other European countries.